LONDON (AFP) - The former chairman of English Championship strugglers Luton on Wednesday admitted making irregular payments to agents on three separate occasions.
But Bill Tomlins, who has resigned from the club which is expecting imminent major investment, insisted in an interview with the BBC that he made no personal gain from the transactions.
And he said he had contacted the Football Association to make them aware of the situation.
The FA are now holding an inquiry into the matter.
Tomlins - who sacked club manager Mike Newell recently as the side's fortunes slumped - told the BBC that the irregular payments were made through the club's holding company J10.
Concerning his resignation he said: "There has been too much disruption surrounding the club in recent months. I feel it is appropriate for me to stand down at this time."
A club statement confirmed: "Earlier this year Mr Tomlins approached the FA requesting a meeting to clarify certain matters relating to the football club.
"Following this meeting the FA is currently carrying out an inquiry.
"As the matter is now with the Football Association there will be no further comment by the club until the inquiry has been completed."
Newell himself had raised the spectre of English football managers taking bungs in a BBC documentary earlier this season and also heavily criticised Tomlins over where money for several Luton players had gone to as he wanted it for buying new ones.
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